Hegseth's Pentagon picks linked to Trump Jr venture fund in defense contracts
Two Defense Policy Board appointees tied to 1789 Capital co-invest in defense contractors alongside venture capital firm a16z.
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Summary, timeline and people extracted by Claude from 11 items across 6 sources · 6h ago. Quotes are verbatim.
Defense Secretary Pete Hegseth appointed Marc Andreessen and Blake Masters to the Pentagon's Defense Policy Board, both of whom have ties to 1789 Capital, a venture fund where Donald Trump Jr is a partner. The firm co-invests with Andreessen Horowitz in three defense contractors that have received billions in federal loans and contracts since Trump's second administration began, raising conflict-of-interest concerns about whether appointees are advancing family financial interests over strategic policy.
- Defense Secretary Hegseth appointed two men with ties to 1789 Capital—a venture fund where Trump Jr is a partner—to the Pentagon's Defense Policy Board while they advise on defense sectors where the fund has billions in co-invested interests.
- Companies jointly backed by a16z and 1789 Capital have already drawn billions in federal loans and contracts since the second Trump administration began.
- Government watchdogs and policy experts warn the board composition creates conflict-of-interest risks similar to pre-Iraq War period when board members had undisclosed defense contractor ties.
How it unfolded
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The Guardian reports that Hegseth's appointments to the Defense Policy Board include Marc Andreessen and Blake Masters, both with ties to 1789 Capital where Donald Trump Jr is a partner, which co-invests with a16z in three defense contractors already receiving billions in federal contracts.
“The appointments by the US defense secretary not only appear to increase the influence of rightwing ideologues, autonomous weapons manufacturers, and one-time clients of authoritarian states on the world's most powerful arsenal, but to…”
The Guardian · Bluesky ↗ -
Scott Amey from the Project on Government Oversight warns that advisory committee appointees often seek government business with their agencies, raising concerns about competitive advantages for employers or clients.
“So you worry: are some of these people here to raid the cupboards and learn as much as they can to give a competitive advantage to their employer or clients?”
Scott Amey · Bluesky ↗ -
Nick Cleveland-Stout of the Quincy Institute notes that about half the Defense Policy Board comes from the defense industry, comparable to the second Bush administration where a third had worked for defense contractors.
“About half of this board comes from the defense industry and they're actively working in the defense industry”
Nick Cleveland-Stout · Bluesky ↗ - 71 weeks quiet
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Defense Secretary Pete Hegseth disbanded the Defense Policy Board in April 2025, clearing membership of several Pentagon advisory panels after a 45-day review for 'fresh thinking' and 'bold changes'.
What people are saying verbatim
“The appointments by the US defense secretary not only appear to increase the influence of rightwing ideologues, autonomous weapons manufacturers, and one-time clients of authoritarian states on the world's most powerful arsenal, but to potentially put the financial interests of the US president's family at the heart of setting US strategic priorities.”
The Guardian, Investigative reporting · The Guardian ↗ · Aug 10
“A lot of the people appointed to them are seeking government business – specifically seeking business with the agency they're serving”
Scott Amey, General counsel, Project on Government Oversight · The Guardian ↗ · Aug 10
“So you worry: are some of these people here to raid the cupboards and learn as much as they can to give a competitive advantage to their employer or clients? Or are they trying to push contracts in a way that would benefit an employer or client.”
Scott Amey, General counsel, Project on Government Oversight · The Guardian ↗ · Aug 10
“About half of this board comes from the defense industry and they're actively working in the defense industry”
Nick Cleveland-Stout, Research associate, Quincy Institute for Responsible Statecraft · The Guardian ↗ · Aug 10
“Defense Policy Board appointee Marc Andreessen's firm, Andreessen Horowitz, one of Silicon Valley's largest venture capital firms and known by the name 'a16z', co-invests alongside the Trump partnership 1789 Capital in three defense contractors.”
The Guardian, Investigative reporting · The Guardian ↗ · Aug 10
Voices from the web unedited
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Two advisers have links to a venture fund co-investing in US defense companies that benefit from federal spending
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ROBBER BARONS in the EPSTEIN CLASS ARE STEALING OUR MONEY👇 https://www. theguardian.com/us-news/2026/a ug/11/pete-hegseth-pentagon-picks-trump-family-business